Frank Sciuto at Brown University

As part of Brown University’s Academic and Professional Group, our very own Frank T. Sciuto, CPA/PFS, CFP, MST, MS/MBA will be teaching several weekly seminars for the Smart Woman Securities (SWS) , a new not-for-profit chapter on campus, focused on investment education for undergraduate women.
 
The organization’s primary goal is to educate undergraduate women about equities and investing with practical experience and exposure to the financial markets.
 
The comprehensive investment series is designed and based on prudent financial management and investing for women.

At the culmination of the series, all participants will have the opportunity to meet pioneering financial guru and  the 20 th century’s most successful investor, Warren Buffett!

Click here for a Forbes article on Warren Buffett and some members of  the Forbes 400

Estate & Gift Planning - The Time to Act is Now!

Estate planning today is more complex than ever before. The environment is dynamic, rife with unprecedented changes, uncertainty, and substantial opportunities. As Congress passes new laws each year, it has become essential to have a plan in place that is fluid and flexible.

We are currently in what might be considered a unique, opportunistic and perhaps finite time period where married individuals can effectively shield $10 million in assets from estate tax, but the time to act is now before this provision expires at year-end!  Click here for The Benefits of Making Gifts Before 2013

The Estate and Trust Group, together with our affiliates and professional relationships, have the ability to coordinate the following services:

• full asset inventory and estate tax plan studies
• investment planning
• insurance planning
• engagement of the appropriate probate, estate and trust attorneys
• wealth advisory services

A carefully designed estate plan requires a comprehensive team of professionals. Our dedicated team employs a multi-disciplinary approach to help clients achieve greater financial security for themselves and their families. Through our affiliates and alliances, we work together to put personal goals into action, and ensure clients have the appropriate, tax, estate, financial planning and legal professionals necessary to set plans in motion. We would be pleased to meet with you to dicuss your personal tax and estate plan.  Call us today! 

 

As always, should you have any questions, please feel free to contact your trusted advisor at DiSanto Priest & Co., a member of the Bentley Group entities.  

 401.921.2000 

Renting Out a Vacation Home

Tax rules on rental income from second homes can be complicated, particularly if you rent the home out for several months of the year, but also use the home yourself.
 
There is however, one provision that is not complicated. Homeowners who rent out their property for 14 or fewer days a year can receive the rental income, tax-free.
 
It is k nown as the "Master's exemption", because it is used by homeowners, near the Augusta National Golf Club in Augusta, GA who rent out their homes during the Master's Tournament (for as much as $20,000!). It is also used by homeowners who rent out their homes for movie productions or those whose residences are located near Super Bowl sites or national political conventions.
 
Tip: If you live close to a vacation destination such as the beach or mountains, you may be able to make some extra cash by renting out your home (principal residence) when you go on vacation-- provided i t's two weeks or less. And, although you can't take depreciation or deduct for maintenance, you can deduct mortgage interest and property taxes on Schedule A.
 
In general, income from rental of a vacation home for 15 days or longer must be reported on your tax return on Schedule E, Supplemental Income and Loss. You should also keep in mind that the definition of a "vacation home" is not limited to a house. Apartments, condominiums, mobile homes, and boats are also considered vacation homes in the eyes of the IR S .
 
Further, the IRS states that a vacation home is considered a residence if personal use exceeds 14 days or more than 10% of the total days it is rented to others (if that figure is greater). When you use a vacation home as your residence and also rent it to others, you must divide the expenses between rental use and personal use, and you may not deduct the rental portion of the expenses in excess of the rental income.
 
Example: Let's say you own a house in the mountains and rent it out during ski season, typically between mid-December and mid-April. You and your family also vacation at the house for one week in October and two weeks in August. The rest of the time the house is unused.
 
The family uses the house for 21 days and it is rented out to others for 121 days for a total of 142 days of use during the year. In this scenario 85% of expenses such as mortgage interest, property taxes, maintenance, utilities, and depreciation can be written off against the rental income on Schedule E. As for the remaining 15% of expenses, only the owner's mortgage interest and property taxes are deductible on Schedule A.
 
Questions about vacation home rental income? Please call us .